Are you exploring the idea of starting your own CBD business? If so, it’s no surprise. The cannabis industry is one that is currently booming, which is helped by the fact more and more states in the United States are legalizing marijuana in some form. The reason why for so many states is because of medicinal reasons. Yet this viewpoint is gradually changing, and statistics highlight 12 states currently approve of recreational marijuana.
Before you can fill a gap in the market, however, there are many different steps to take. As you’d expect, it’s far from straightforward to enter the world of business, but especially so when it is an industry that is still a fairly new concept to many people.
For a little assistance, here are four tips to remember when starting a CBD business:
The production process
There are various different methods you can take when it comes to producing your CBD products. Of course, you can purchase marijuana from an external supplier, but this gives you less control, and overall profit margins are going to be restricted.
One of the most effective production options is to go with an automated drip irrigation system. This is where water and nutrients are accurately supplied to the plant’s roots. It’s a precise method of growing, particularly when float switches are utilized, and this ensures the cannabis avoids root rot and remains healthy. This allows you to keep the control with you and know exactly the type of product you are producing.
The importance of security
Security is something that should never be overlooked. You’re producing a highly-prized crop, and this is going to be under threat from unscrupulous characters. Because of this, you have to utilize the most sophisticated security system you can afford. This will not only keep your product safe but also your employees.
As a starting point, consider:
- A complete video surveillance system
- Security alarm system
- An identification system for employees
Understand the rules
It goes without saying, but there are many different rules and regulations to follow when starting a CBD business. It can be especially complex and confusing for any newcomer to the industry. For instance, something as seemingly as simple as accepting payments can throw up problems.
As a starting point, you should find out the laws for your specific state. You can check this by using FindLaw’s state-by-state marijuana guide. If you’re irresponsible and use reckless practices, this can cause massive problems – both financial and legal – for you.
Choose your route
When putting together your business plan, the first thing you need to decide is the direction to take your CBD business. Will you be a cultivator and sell in bulk to secondary outlets? Is the plan to run a retail store?
Once you’ve picked your route, it’s all about standing out from the competition. Ensure you dedicate an extensive amount of effort to creating a memorable brand for your business. The point is you need to convince people that you are the brand to use!